FOR IMMEDIATE RELEASE ENR

TUESDAY, APRIL 4, 1995 DOJ: Jim Sweeney (202) 514-2008

TDD (202) 514-1888
EPA: Kathryn Smith (202) 564-3252

BURLINGTON NORTHERN AGREES TO PAY $1.5 MILLION

TO SETTLE CLAIMS FOR THREE SPILLS

WASHINGTON, D.C. -- The Department of Justice and the

Environmental Protection Agency today announced a $1.5 million
civil settlement of Oil Pollution Act claims against the
Burlington Northern Railroad Company. The claims arose from
three separate oil and hazardous waste spills -- caused by train
derailments -- including one that forced the evacuation of
approximately 50,000 people from nearby Wisconsin and Minnesota
towns. Under the settlement, Burlington Northern agreed to pay a
total of $1.5 million, including a $1.1 million civil penalty
under the Oil Pollution Act -- the largest single penalty to date
awarded under that statute in a single case.

The consent decree, filed late yesterday in a Federal Court in

Madison, Wisconsin, also calls for Burlington Northern to spend
$1.2 million for derailment prevention technology. The company
will purchase three ultrasonic rail inspection cars which will
improve the company's ability to detect rail defects and prevent
derailments like those that caused the three spills.

"This tough penalty proves that we aim to enforce the Oil

Pollution Act vigorously," said Lois J. Schiffer, the Assistant
Attorney General of the Environment and Natural Resources
Division. "To its credit, Burlington Northern chose to work with
us, not to fight, and agreed to prevent, not pollute. I hope
this settlement puts its relationship with the people of
Wisconsin and Wyoming back on track.

"Today's settlement is a good example of how the federal

government uses creative settlement features to promote
prevention and enhance future compliance," said Steven A. Herman,
EPA's Assistant Administrator for Enforcement and Compliance
Assurance.

The Wisconsin spill occurred on June 30, 1992, after a BN

train derailed near the town of Superior, Wisconsin, spilling
nearly 22,000 gallons of aromatic concentrates into the Nemadji
River. These concentrates contained various volatile organic
compounds, such as benzene and toluene, two hazardous substances.

The two Wyoming derailments occurred in January and May,

1993, one near scenic Wendover Canyon and Guernsey, the other
near Worland. Together the accidents spilled more than 3,400
barrels of oil into the North Platte River and a tributary of the
Bighorn River.

United States Attorney, Peggy A. Lautenschlager, of Madison,

Wisconsin stated that "The settlement terms in this case not only
penalize Burlington Northern for the spills, but more importantly
provide remedial measures which will minimize the chance of
similar spills occurring in the future. Likewise, part of the
settlement funds will be designated for restoration of natural
resources which may have been damaged by the spill."

BN's $1.5 million payment accounts for the $1.1 million

civil penalty, plus $260,000 to reimburse EPA and other federal
agencies for their costs in responding to the Wisconsin spill,
and a $140,000 contribution to a fund managed jointly by the
Department of Interior, the Bad River Band of Lake Superior
Chippewas and the Red Cliff Band of Lake Superior Chippewas for
injury to natural resources caused by the Nemadji spill.

Burlington Northern will also pay $100,000 into a fund to be

used to study internal rail defects of the type involved in the
Nemadji and Worland derailments.

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